7 USC 518a - Contract payments to tobacco quota holders

U.S Code last checked for updates: Apr 27, 2024

§ 518a.

Contract payments to tobacco quota holders

(a)

Contract offered

(b)

Eligibility

(c)

Base quota level

(1)

Establishment

(2)

Poundage quotas

(3)

Marketing quotas other than poundage quotas

Subject to adjustment under subsection (d), for each kind of tobacco for which there is marketing quota or allotment on an acreage basis, the base quota level for each tobacco quota holder shall be the quantity equal to the product obtained by multiplying—

(A)

the basic tobacco farm marketing quota or allotment for the 2002 marketing year established by the Secretary for quota tobacco owned by the tobacco quota holder; by

(B)

the average production yield, per acre, for the period covering the 2001, 2002, and 2003 crop years for that kind of tobacco in the county in which the quota tobacco is located.

(d)

Treatment of certain contracts and agreements

(1)

Effect of purchase contract

(2)

Effect of agreement for permanent quota transfer

(e)

Contract payments

(1)

Calculation of total payment amount

The total amount of contract payments to which an eligible tobacco quota holder is entitled under this section, with respect to a kind of tobacco, shall be equal to the product obtained by multiplying—

(A)

$7.00 per pound; by

(B)

the base quota level of the tobacco quota holder determined under subsection (c) with respect to that kind of tobacco.

(2)

Annual payment

(f)

Death of tobacco quota holder

(Pub. L. 108–357, title VI, § 622, Oct. 22, 2004, 118 Stat. 1525.)

cite as: 7 USC 518a